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Summary

Economic Railway Corridors identified under the PM Gati Shakti initiative.

Text of the circular

https://www financialexpress.com/business/railways-pm-gati-shaktis-blueprint-for-economic-railway-corridors-unveiled-
in-interim-budget-2024-25-all-about-aim-efficiency-and-infrastructure-investment-3383203/

PM Gati Shakti’s blueprint for Economic
Railway Corridors unveiled in Interim
Budget - All about aim, efficiency, and
infrastructure investment

The announced budgetary measures signify a significant push towards enhancing
logistics efficiency and reducing costs associated with rail movement.

Written by FE Online
( Follow U:
Updated: February 3, 2024 08:36 IST onow OS © @ x

Union Minister 0 >iyush Goyal, we es the announcement, emphasizing that investment

rastructure development will generate employment opportunities. (Representational Image: Reute

The Interim Budget for 2024-25 unveils plans for the execution of three
Economic Railway Corridors identified under the PM Gati Shakti initiative.
These corridors aim to enhance multi-modal connectivity, encompassing
energy, mineral, and cement corridors, port connectivity corridors, and high-
traffic density corridors.

Boosting Logistics Efficiency and Reducing Rail-Related
Logistics Costs:

The announced budgetary measures signify a significant push towards
enhancing logistics efficiency and reducing costs associated with rail
movement. This includes plans to decongest high-density rail routes and
promote modal shifts from road to rail and coastal shipping, ultimately
contributing to a reduction in carbon footprint within the logistics sector.

Piyush Goyal on Infrastructure Investment:

Union Minister of Commerce, Piyush Goyal, welcomes the announcement,
emphasizing that investments in infrastructure development will generate
employment opportunities and have a multiplier effect on the country’s
economic growth. He underscores the government's focus on infrastructure
under Prime Minister Narendra Modi’s leadership, citing its direct impact
across various sectors.

Utilization and Impact of PM Gati Shakti:

Since its launch, PM Gati Shakti has played a crucial role in planning physical
infrastructure. The Area Approach, incorporating economic and social sector
assets, has been integrated for comprehensive planning. The use of PM Gati
Shakti significantly de-risks infrastructure investments and encourages foreign

direct investment (FDI) by facilitating logistics efficiency.

PM Gati Shakti National Master Plan for Integrated
Project Implementation:

The PM Gati Shakti National Master Plan, launched on October 13, 2021, aims to
break departmental silos in government and institutionalize holistic planning
for stakeholders across major infrastructure projects. It provides an integrated
and synchronized approach to project implementation, fostering efficiency

and coordination.

Expanding the Scope of PM Gati Shakti to Social Sectors:

The government, according to DPIIT secretary Rajesh Kumar Singh, is
planning to extend the scope of PM Gati Shakti to include not only
infrastructure but also social sectors such as hospitals, Anganwadi centers,
schools, and colleges. This move aims to optimize decision-making processes

for new infrastructure development in the social sector.

Potential Impact on India’s Economy and Infrastructure
Growth:

The DPIIT Secretary highlights the transformative impact of the PM Gati Shakti
National Masterplan, suggesting that in a business-as-usual scenario, India
could add USD 0.75 trillion to its GDP every two years. He underscores India’s
recent strides in infrastructure growth across national highways, ports,

airports, waterways, and rail networks over the past nine years.

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